Written by Amanda Push | Edited by Katie Lowery and Pearly Huang | Reviewed December 28, 2023
| Lender | User ratings | APR range | Loan amounts | Loan terms | Best for... |
|---|---|---|---|---|---|
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | 8.99%-35.99% | $2,000-$50,000 | 36 to 60 months | Secured loans |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | 7.99%-24.99% | $2,500-$40,000 | 36 to 84 months | Good-credit borrowers |
 | 8.49% - 21.74% (with autopay) | $5,000-$100,000 | 24 to 144 months | Long-term loans | |
 | User ratings coming soon | 8.99%-18.00% | Not specified | Up to 180 months | Borrowers with military connections |
 | 7.99%-17.99% | $600-$50,000 | 12 to 60 months | Short-term loans | |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | 8.99%-25.81% (with discounts) | $5,000-$100,000 | 24 to 84 months | Same-day funding |
 | 8.49%-35.99% (with autopay) | $1,000-$50,000 | 24 to 84 months | Joint loans | |
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User Ratings & Reviews
Ratings and reviews are from real consumers who have used the lending partner’s services. | 6.40%-35.99% | $1,000-$50,000 | 36 and 60 months | Fair- or bad- credit borrowers |
| Pros | Cons |
|---|---|
No prepayment penalties Offers both secured and unsecured loans Low credit score requirement | Lowest rates require high income Charges origination fee (0.99% - 8.99%) High maximum APR (35.99%) |
Best Egg offers both secured and unsecured loans to its customers. A secured loan can help you access lower rates if you have bad credit since your loan is backed by collateral. If you want to qualify for this lender’s lowest rates, you’ll need a credit score of at least 700 and a minimum annual income of $100,000. While it can take up to three days to receive funding, about half of borrowers receive funds within one business day.
Best Egg looks for the following criteria when considering potential customers:
| Pros | Cons |
|---|---|
No origination fees Long loan terms available Competitive interest rates | Charges late fees No option for co-applicants Bad credit borrowers may not qualify |
If you have good to excellent credit, you may qualify for a Discover personal loan with low interest rates. On top of that, Discover doesn’t charge any fees as long as you pay on time. If your credit score is on the low side, you might have difficulty qualifying for a loan with Discover, especially since this lender doesn’t allow you to apply for a personal loan with a cosigner or co-borrower.
To get approved for a home improvement loan with Discover, you’ll need to fit the following criteria:
| Pros | Cons |
|---|---|
Large maximum loan amounts Long loan terms Doesn’t charge any fees | Borrowers with low credit may not qualify No option to prequalify High minimum borrowing amounts |
LightStream offers loan repayment terms ranging from 24 to 144 months — the longest terms on our list of home improvement lenders. This can provide you more time to repay a loan, especially if it’s a large one. Unfortunately, LightStream doesn’t offer the option for consumers to prequalify for a loan. This means that if you want to see the rates and terms you may qualify for, you’ll have to submit to a hard credit pull.
If you want a LightStream home improvement loan, you’ll need the following qualifications:
| Pros | Cons |
|---|---|
Same-day funding available No origination fees Long loan terms | Must have military connection Minimum and maximum loan amounts not specified |
Navy Federal Credit Union is only open to members of the U.S. military or their families. Borrowers can access perks such as same-day funding, no origination fees and repayment terms as long as 180 months. However, beyond its military member specifications, Navy Federal Credit Union doesn’t offer much clarity on other criteria. This lender’s minimum and maximum loan amounts are also unclear.
To get a loan with Navy Federal, you’ll need to become a member of the credit union. To join, you’ll need to be one of the following:
| Pros | Cons |
|---|---|
No origination fees Funding within one to two business days Flexible repayment terms | Must be member to qualify Unclear criteria to qualify for loan Charges $29 late payment fees |
If you’d like to pay off your home improvement loan quickly, PenFed Credit Union comes with repayment terms as short as 12 to 60 months. This can help you save money, as you won’t pay as much in interest with a short-term loan. Keep in mind, however, that you’ll need to become a PenFed Credit Union member in order to receive your loan and that any late payments may come with fees as high as $29.
| Pros | Cons |
|---|---|
Same-day funding available Offers large loan amounts Provide options for long loan terms No required fees | High minimum loan amount Borrowers with low credit may not qualify May have to accept origination fee for lower rates |
While some lenders take several days to provide your loan, SoFi offers same-day funding. This may be a good fit for consumers who need funding quickly for their home improvement project. If you’re approved for a SoFi personal loan, you have the option to accept an origination fee — up to 6.00% — in exchange for lower monthly payments. However, origination fees are not required by this lender.
If you want a home improvement loan with SoFi, you’ll need to check the following boxes:
| Pros | Cons |
|---|---|
Option to apply for joint loan Long repayment terms Low minimum credit score requirement (580) | 1.85% - 9.99% origination fee High maximum APR Charges late fees |
If you don’t have great credit, you can apply for a joint personal loan through Upgrade. With a joint loan, you can apply with a second person — such as a friend or family member — to get better rates. Keep in mind, you’ll both be responsible for repaying the loan. You’ll also need to budget for a one-time origination fee, which can range from 1.85% - 9.99% and is taken out of your loan amount.
Other than being at least 18 years old (19 in some states), you’ll need to meet the following criteria to qualify for a loan with this loan marketplace:
| Pros | Cons |
|---|---|
Quick funding timeline (one business day) Flexible loan amounts Low minimum credit score | Charges origination fees Limited loan terms No option for joint applications |
With a low credit score requirement, Upstart is an accessible loan option for borrowers looking for a bad-credit personal loan. Keep in mind that if you don’t have great credit, you won’t qualify for Upstart’s lowest APRs. Upstart also charges origination fees that range from 0.00% - 12.00%, the highest on our list. This lender’s loan terms are also limited to just two options — 36 and 60 months.
Upstart offers clear criteria when it comes to home improvement loans:
Home improvement loans are a type of personal loan that are used to pay for home improvement costs. Personal loans are lump-sum, fixed-rate loans that are repaid in monthly installments over a set period of time.
Since personal loans typically don’t require collateral, they can be an alluring alternative for homeowners who don’t want to put their home on the line with a home equity loan or home equity line of credit (HELOC). However, secured personal loans also exist, and they may be an affordable alternative for borrowers with fair or bad credit.
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When deciding how to finance your home improvement projects, you may be considering a personal loan, home equity loan or HELOC. Each one comes with some stark differences that may influence which option is best for you. Generally, interest rates on home equity financing tend to be lower than on unsecured personal loans.
A home equity loan can help you fund your home improvements by using the equity you’ve built up in your home. You can typically borrow up to 85% of your home’s equity and receive a lump sum of money that comes with fixed APRs.
This type of loan is secured by your home, meaning your house will serve as collateral. While this can help you access lower loan rates, if you don’t keep up with your payments, you could lose your home.
A home equity line of credit (HELOC) works like a credit card that borrows against your home’s equity. You can borrow money as you need and only pay interest on the amount you take out. HELOC lenders generally allow you to take out up to 85% of your home’s equity.
HELOCs come with variable interest rates, so your monthly payments may vary.
Financing your home remodel could be as simple as applying for a personal loan. Each lender has their own unique application process, but you’ll typically have to verify your personal information and income.
A home improvement loan works like a traditional personal loan. If a lender approves you for a loan, it will deposit a lump sum of money into your bank account and you’ll repay it in monthly installments over a predetermined period of time. Since these are typically unsecured loans, you won’t need to provide collateral.
In general, a good debt-to-income ratio — your income versus the amount of debt you have — is below 43%, though many lenders prefer a DTI lower than 35%. Since home improvement loans are generally unsecured, lenders will heavily weigh your debt-to-income ratio and credit score to determine how likely you are to repay a loan.
The type of loan that’s best for you depends on a variety of factors, including your credit score, your budget and the amount of home equity you’ve built. If you have a lot of equity in your home, a home equity loan or HELOC may be a good fit since they commonly come with low interest rates. If you have a high credit score, a home improvement loan may be best since you can qualify for a lower APR and your home won’t be used as collateral.
